Due to rapid change of market, demand and marketing circumstances, the industrial circles from traditional industries to high-tech industries are being confronted with keen changes of global competitiveness. As a result of customers sense of awakening, the uncertainty of marketing production and supply demand, those such as manufacturers, wholesale agents, retail dealers, bank circles, stock market administration as well as end users have to have relatively acute sense of smell which should be able to detect in advance how the market change will be in the future so as to enable themselves to control the structural change of marketing logistics, material costs, quantity difference and cost concept change and further to be able to sufficiently control the process of global supply chain cell group management.
Hence, how to integrate and accelerate supply chain cell group management and how to conduct business process re-engineer will be a prerequisite for the infrastructure which will determine if an enterprise or a company can continuously and permanently operate in the computerized 21st century. Recently there are a few domestic enterprises arising serious financial crisis. Enterprises should take it as a lesson to learn what caused the crisis. It might be caused by sluggish market, economic depression, excessive financial loans or other defective operations.
In addition, one must also consider if it is necessary to proceed with the re-construction of industrial process, to set up a fundamental supply chain unit cell and a brand new supply chain computerized management system. A crisis might be a turning point for a company to being regenerated as a new enterprise.
While entering 21st century, a prerequisite that an enterpriser should have is that one must be able to sense and detect the confronted rapid change and capable taking immediate action in advance. Supply chain cell group boundary management will help you to gain the prerequisite and it should be well used to establish a brand new supply chain computerized management system in order to exist in the 21st century. The model of enterprise competition in the future will be no longer the competition between single enterprises or enterprise groups, but a strategic competition between supply chain cell group and supply chain cell group. It will be a competition of supply chain computerized management system. In the meantime, we firmly believe that to establish a virtual enterprise and a computerized system with automatic crisis pre-warning management facilities will be a prerequisite for companies to be competitive in the 21st century.
For setting up a brand new supply chain computer management system or virtualized enterprise computerized management system to be used by companies in the 21st century, I diligently carried out a research for the fundamental structure of supply chain. Both entry item quantity (EIQ) and entry item value (EIV) analytic methods have been used in the fundamental structure. A calculating method of combined logistics system planning and logistics basic operating costs has been worked out and a supply chain boundary value and quantity conservation computerized software to serve the industrial circles has been further invented. Further more an applied supply chain unit cell/Cell group/boundary conservation of quantity and value supply chain computer management system was invented to enable enterprises to process their logistics center system planning and worked out virtual enterprise and an automatic pre-warning crisis computerized management system. Meanwhile, the computer system is capable of making a return control and management over supply chain cell group. Therefore, the system will be able to accomplish the multi-purposes of sharing technologies, research findings and man power resources with others in order to reduce risks and total costs, to enlarge outputs and business scales, to gain profits in marketing and obtaining customers.